when do you drop full coverage car insurance?
 

Got a truck thats 9 years old, paid for, low mileage in pretty good shape, I am thinking of dropping full coverage on it. So as the title reads when do you drop to just liability on a vehicle?

usually right before you need it.

I was actually wondering the same thing earlier today. I remember being told that once you don't owe anything on it, is when to switch. But I don't know if that is something to go by or not?

Personally, I never would

You had full coverage because the loan company forced you to protect it in case something happened. "In case" something happened. A 9 year old truck is probably not worth much so if anything substantial happened, they would just total it out and pay you off a few hundred dollars.

So, how much extra a year are you paying for collision?

What is the oldest car you kept collision coverage on? That was not a classic or something like that?

If I were you I'd get the bare minimum of car insurance. I drop mine down to bare minimum just as quickly as I pay them off.

The couple of times I made the mistake of making an insurance claim I found my insurance rate jacked to the sky the next month. So most people end up paying for shit out of pocket anyway.

At the moment I have full coverage on an '03 Toyota Tacoma which I bought new and it will be 7 years old in April. I will keep full coverage as long as I have the truck...which will probably be the rest of my life since I only have put 55,000 miles on it.

And how much extra a year [or month] are you paying for the collision coverage? and your deductible?

My Expedition is a 2001, the Acura is a 2003. Both fully covered through AAA and is less then 90 a month for the coverage. I would save a whopping 20 bucks a month to drop down to just liability. the 240 a yr i would save would not be worth the loss from medical, personal property and so forth that I get with full coverage if I were to get in a accident. Not to mention if the vehicle is stolen or broken into.

:2 cents:

depends on how much its worth and how much it costs to insure it. you have to look at it like if you factor in all of the odds, the insurance company is always going to come out ahead so unless you really "need" the insurance its probably not worth it.

You can always drop the collision coverage, and keep the comprehensive coverage so that you'll still have coverage for theft, vandalism, hail, fire, hitting a deer, etc.

I generally drop full coverage after the car is 10 years old.

No, I had collision on it because I paid cash for it and didn't want to loose my "investment" in it, but it is coming to the point where it has paid for itself, so to speak.

Collision runs me $154a yr, same price as my liability coverage.

I would have to get out my insurance paper work to provide an exact break down but my total insurance payment is around $980 per year and I have a $250 dedudctible. BTW...I too paid cash when I bought it.

i bought my 911 new for 140K cash, no collision. my saab 92-x, same thing, my subaru, same thing. waaay cheaper for three cars. i got fucked over crashing my S2000 8 years ago, total waste of money imho. never again unless i somehow end up with a lease again, which will never happen.

Okay, well . . . figure out how much you think it is worth, cut it in half and that is what the insurance company will total it out at. Factor in your deductible and determine what would have to be broken to cost that much.

Check the blue book value of the car then find out how much the difference is between having bare minimum insurance and full coverage. Then take the blue book value, subtract your deductible and you can assume that will roughly be a total loss payout. If that dollar amount is worth paying whatever the extra is for full coverage keep it. If not, cut it and put the difference in a savings account.

I dropped mine after I paid my car off. It was an older car. If it was newer/nicer maybe I would have kept the full coverage.

I am thinking the same thing on my 2000 toyota corola 55k miles, currently paying full coverage with allstate for $179 a month.

damn, that is expensive. Maybe I will leave mine alone, $689 a yr plus discounts, split into 8 payments so, about $77/month.

I go though Farm Bureau and just run Liability on my 3 cars. The most expensive of the 3 is my 85 c-10 at 33 bucks a month. My 99 Sonata GLS is 27 a month and my 97 Land Rover is 30 a month. Out of them the Land Rover has the highest book, with only 88k on it. Worth almost 3 times what the 99 Sonata GLS is.

I look at it this way, I buy the cars outright when I need them for cash. I can work on cars, including most body work, so if something did happen chances are I could fix it myself. I don't buy new anymore cause there is way to much of a hit in depreciation.

The only time I would put full coverage on a vehicle is if it where something special and hard to replace.

It depends were you live, I have my car in the Bronx which is a high risk area. If I moved 10 minutes north it would be around half the amount. I used a relatives address in the past and it just became a hassle.

That price I mentioned is even a discounted rate since I also have a renters insurance plan with allstate for my apt. incase of fire or theft. (this plan cost around $150 a year)

Wow some expensive insurance payments on fairly low priced cars.

The only way I'd ever drop full coverage on any car I owned was if I got a divorce. Till that time accidents are considered likely not possible.

The $980 is not correct it is about $806 per year.

insurance is really only mean to protect you from major losses... in the grand scheme of things, losing a $5k or $10k car is not THAT bad... of course it would suck, but it's not like you would go through major financial hardship because of it... I would save the $500 or whatever per year and invest it for your retirement instead... :2 cents:

Insurance is a sucker's bet.

Ya, It's betting your going to crash or get your cat stolen.

if you decide to drop it... be damn sure to keep non/under insured driver on it.

I'd drop it as soon as my wife would stop driving it.

I'll second dropping collision and keeping comprehensive coverage
Insurance is a suckers bet like a single number on a roulette wheel
The insurance is for those times when you suffer an unlikely but great loss
The insurance company can WELL WELL afford the variance, if you can't afford to lose something, you should probably insure it.